Tuesday, October 13, 2020

Challenges with advertising on streaming channels and connected TVs

Earlier this week, Sahil Patel authored an article in the Wall Street Journal titled "Brand-Safety Firms See a Big Opening in Streaming TV." The article focuses on a key issue confronting many brand managers that are grappling with the opportunities and risks of advertising on streaming platforms and connected TVs.

While viewers are increasingly consuming entertainment content via connected TVs and streaming platforms, advertisers often lack visibility into where their ads are appearing in these channels. Many streaming ads are bought through large automated ad marketplaces, and most auctions include inventory from a broad (and opaque) range of sources. In connected TV advertising, only 23% of auctions use identifiers that comply with IAB standards.

This lack of transparency represents a big risk for advertisers, who have insufficient visibility to optimize campaign ROIs and lack the tools to prevent message creep that exist in other digital advertising channels. Brand safety firms and ad networks are both benefiting from this risk in the short term, which their services aim to mitigate. In the long term, until streaming services can provide greater transparency, targeting, and attribution, the category will not reach its full potential as an advertising medium.

https://www.wsj.com/articles/brand-safety-firms-see-a-big-opening-in-streaming-tv-11602237600?mod=business_minor_pos8

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